USDA PACA Bond

Arizona USDA PACA Bond

PACA trust and licensing security for produce traders

Produce dealers subject to PACA may need surety for licensing restorations or related USDA AMS requirements.

Overview

What Is a Arizona USDA PACA Bond?

A USDA PACA bond supports Perishable Agricultural Commodities Act licensing or restoration conditions set by USDA AMS.

Key Provisions
  • Guarantees compliance with Perishable Agricultural Commodities Act - USDA AMS
  • Protects the obligee named on the Arizona bond form
  • Remains subject to the penal sum and bond conditions
Surety Obligation Overview

What Does This Bond Guarantee?

The surety bond guarantees that the principal will perform the duties required under Perishable Agricultural Commodities Act - USDA AMS up to the penal sum.

Principal
The party required to obtain the bond and perform the underlying obligation.
Obligee
United States - USDA AMS PACA
Surety
The company issuing the bond and guaranteeing the obligation to the obligee.

When a claim may arise

A claim may arise if the principal fails to comply with the bonded Arizona obligation or causes covered loss to the obligee or protected parties.

If a claim is valid

If a claim is valid, the surety may pay up to the bond penalty according to the bond terms; the principal remains liable to reimburse the surety.

Scope of the Obligation
  • Comply with Perishable Agricultural Commodities Act - USDA AMS
  • Satisfy United States - USDA AMS PACA filing conditions
  • Maintain the bond for the required term
Bond terms

Bond summary

Amount, premium, term, and the authority that requires this filing.

Eligibility

Who Needs This Bond?

Arizona produce dealers, brokers, and commission merchants facing PACA bond conditions need this federal surety.

Who Is Required to File
  • Applicants required by U.S. Department of Agriculture (USDA) - AMS
  • Arizona businesses renewing or expanding licensed activity
  • Out-of-state firms filing into Arizona markets
Requirements

What You Need to Apply

Confirm the USDA AMS required penal sum and file the accepted PACA bond form.

Required Documentation
  1. Legal entity name matching the license or filing
  2. Bond amount: $10,000 minimum federal baseline commonly cited for PACA restorations (confirm USDA notice)
  3. Arizona obligee form or statute citation
  4. Owner or officer identification for underwriting
Filing

How this filing works

  1. 01

    Confirm the Arizona requirement

    Share your license type, court order, or obligee form and the exact penal sum required by U.S. Department of Agriculture (USDA) - AMS.

  2. 02

    Underwrite and price

    We review credit and filing details, then quote premium options through licensed surety markets.

  3. 03

    Issue and file

    Once approved, we issue the bond for delivery to United States - USDA AMS PACA or for your Arizona filing package.

FAQ

Frequently Asked Questions

What is the required amount for an Arizona usda paca bond?

The amount is $10,000 minimum federal baseline commonly cited for PACA restorations (confirm USDA notice), as set under Perishable Agricultural Commodities Act - USDA AMS and confirmed with U.S. Department of Agriculture (USDA) - AMS.

Who is the obligee on an Arizona usda paca bond?

The obligee is typically United States - USDA AMS PACA. Always match the exact name on the Arizona form.

How long does it take to get the bond?

Many Arizona filings can be underwritten the same day when documents and credit are complete; complex amounts may take longer.

Does bad credit prevent approval?

Not always. Premium and collateral options vary by credit and bond size — ask for markets that still write the risk.

How do I renew the bond?

Most bonds renew on the term shown (1 Year). Keep continuity so your Arizona license or filing does not lapse.

Authority Resources

U.S. Department of Agriculture (USDA) - AMS

ams.usda.gov

Next step

Ready to file this bond?

We’ll match the requirement and route the application.

Apply for this bond

Or call (877) 477-7578